English Heritage this week controversially suspended its Blue Plaques scheme due to cuts in government funding, a decision which has been condemned by one leading Birmingham historian.

The plaques, which pay tribute to the nation’s great and good, have become a familiar site on historic buildings around the country.

The only previous time installations have been stopped during almost 150 years of history was between 1915 to 1919 and 1940 to 1947, coinciding with the wartime economies of the First and Second World Wars.

But a 34 per cent reduction in money for the commemorative signs means no more will be approved until new sources of finance have been found by 2015.

Most of the 800-plus Blue Plaques are in London.

But in 1998 English Heritage, a division of the Department for Culture, Media and Sport, extended the scheme to areas including Birmingham, Liverpool & Merseyside, Southampton, and Portsmouth resulting in 34 new plaques erected between 2000 and 2005.

Birmingham has seven English Heritage Blue Plaques.

These celebrate the achievements of confectioners George and Richard Cadbury in Edgbaston, master metalworker John Hardman in Hunter’s Road, Lozells, the city centre premises of the Birmingham Guild of Handicraft, steel pen manufacturer Joseph Gillott at Victoria Works in Graham Street, electro-plating promoter G.R. Elkington on Newhall Street and Lloyd’s Bank founder Sampson Lloyd in Sparkhill.

While many will be familiar with the work and philanthropy of the Cadbury family and financial legacy of Sampson Lloyd, the plaques give people the chance to learn more about lesser-known industrialists such as silver-plating developer G.R. Elkington, according to Birmingham Mail columnist Professor Carl Chinn.

“It is sad to hear of the decision by English Heritage to stop erecting blue plaques – because they are an eye-catching means whereby passers-by and visitors can be drawn into our history and into wanting to find out more,” he said.

“Rather than stopping them, I believe that their numbers should be increased so that those honoured are not only well-known men.

‘‘There should be Blue Plaques commemorating the likes of Kathleen Dayus, who wrote so powerfully about a poor childhood in Edwardian Birmingham, Andy Hamilton MBE, the great jazz musician and many more,” added Prof Chinn.

There are dozens of other blue plaques and historic signs on display in Birmingham, erected by the city’s Civic Society, whose aim is to celebrate the people who have made the city what it is and added to its modern diversity and vibrancy.

The society has erected more than 100 plaques across Birmingham since 1953 and currently puts in place two new signs every year.

Among those honoured are Joseph Lucas, founder of the world-famous industries bearing his name, political reformer Thomas Attwood, printer and publisher John Baskerville and buildings such as the Blue Coat School and the sites on which the General and Dental hospitals were founded.

A spokeswoman for English Heritage said: “Following our 34 per cent funding cut in the 2010 spending settlement, English Heritage commissioners made the decision that the Blue Plaques scheme was to be funded in an alternative way in the future.

“As a step towards creating a new and more self-sustaining scheme, the Blue Plaques team will be reduced to two people during 2013.

“They will continue to erect plaques already agreed by the independent advisory panel and work up the details of a new approach to running the scheme that will be announced in 2014.”

Funding for the plaques – which cost an average of £965 to install – will drop from £130 million in 2010-11 to £92 million in 2014.

English Heritage said its decision to reduce staff and suspend new installations would allow it to make savings of £240,000 over the next two years.

Possible sources of finance after 2014 could come from private investment or other heritage foundations, the spokeswoman said.

• Are blue plaques money well-spent in austere times? Should there be more? Leave a comment below or email us at letters@birminghammail.co.uk